The design of an organization--the accountability system that defines roles, rights, and responsibilities throughout the firm--has a direct impact on the performance of every employee. Yet, few leaders devote focused attention to how this design is chosen, implemented, and adjusted over time. Robert Simons argues that by viewing design as a powerful and proactive management lever--rather than an inevitable outcome of corporate evolution--leaders can maximize productivity across every level of the organization. Levers of Organization Design presents a new design theory based on four key yet often underrated categories: customer definition, critical performance variables, creative tension, and commitment to mission. Building from these core areas, Simons lays out a step-by-step process leaders can follow to create structures and accountability systems that positively influence how people do their work, where they focus their attention, and how their activities can be aligned to contribute to overall strategic goals. He also introduces four levers of organizational design--unit configuration, diagnostic control systems, interactive networks, and responsibility to others--that leaders can manipulate to improve overall organizational efficiency and effectiveness vastly. For anyone accountable for measuring and managing performance, this book shows how good design can become an organization's roadmap to success. Robert Simons is the Charles M. Williams Professor of Business Administration in the accounting & control area at Harvard Business School.

Based on a ten-year examination of control systems in over 50 U.S. businesses, this book broadens the definition of control and establishes a critical bridge between the disciplines of strategy and accounting and control. In addition to the more traditional diagnostic control systems, Simons identifies three new control systems that allow strategic change: belief systems that communicate core values and provide inspiration and direction, boundary systems that frame the strategic domain and define the limits of freedom, and interactive systems that provide flexibility in adapting to competitive environments and encourage organizational learning. These four control systems, according to Simons, will provide managers with the basic levers for pursuing strategic objectives.

Why do 70% of organizational changes fail? Why do employees have to endure negative and repeated reorganizations? Higher success rates require a multidisciplinary approach along with a full view of the business ecosystem. When approached this way, success rates jump dramatically! This book builds upon the body of knowledge in organizational design and explores how to approach the design of organizations to drive and sustain business performance improvement. The methods and models put forth, focus on the integration of organizational design with other disciplines that collectively improve the business ecosystem such as: Value Chain, Supply Chain, Value Disciplines, Lean Sigma, Business Process Management, Workforce Automation, Systems Thinking, Organizational Capabilities, Project Management, and Change Management. The business ecosystems viewpoint makes this book applicable and valuable to boards, executive management, organizational design practitioners, and human resources professionals.

Praise for Leading Organization Design "Sheds light on the challenges of organization design in a complex enterprise and more importantly provides an insightful and practical roadmap for business decisions." Randy MacDonald, SVP, human resources, IBM "Designing organizations for performance can be a daunting task. Kesler and Kates have done an admirable job distilling the inherent complexity of the design process into manageable parts that can yield tangible results. Leading Organization Design provides an essential hands-on roadmap for any business leader who wants to master this topic." Robert Simons, Charles M. Williams Professor of Business Administration, Harvard Business School "Kesler and Kates have encapsulated their wealth of knowledge and practical experience into an updated model on organizational design that will become a new primer on the subject." Neville Isdell, retired chairman and CEO, The Coca-Cola Company "In today's world of global business, organizational design is a critical piece of long-term success. Kesler and Kates have captured multiple approaches to optimize global opportunities, while highlighting some of the keys to managing through organizational transition. A great read for today's global business leaders." Charles Denson, president, Nike Brand "Leading Organization Design has some unique features that make it valuable. It is one of the few and certainly only recent books to take us through an explicit process to design modern organizations. This is accomplished with the five-milestone process. The process is not a simple cookbook. Indeed, the authors have achieved a balance between process and content. In so doing, Kesler and Kates show us what to do as well as how to do it." Jay Galbraith, from the Foreword

Part manifesto, part handbook, THE DESIGNFUL COMPANY provides a lively overview of a growing trend in management–design thinking as a business competence. According to the author, traditional managers have relied on a two-step process to make decisions, which he calls “knowing” and “doing.” Yet in today’s innovation-driven marketplace, managers need to insert a middle step, called “making.” Making is a phase in which assumptions are questioned, futures are imagined, and prototypes are tested, producing a wide range of options that didn’t exist before. The reader is challenged to consider the author’s bold assertion: There can be no real innovation without design. Those who are new to Marty Neumeier’s “whiteboard” series may want to ramp up with the first two books, THE BRAND GAP and ZAG. Both are easy reads. Covered in THE DESIGNFUL COMPANY: - the top 10 “wicked problems” that only design can solve - a new, broader definition of design - why designing trumps deciding in an era of change - how to harness the “organic drivetrain” of value creation - how aesthetics add nuance to managing - 16 levers to transform your company - why you should bring design management inside - how to assemble an innovation metateam - how to recognize and reward talent From the back cover: The complex business problems we face today can’t be solved with the same thinking that created them. Instead, we need to start from a place outside traditional management. Forget total quality. Forget top-down strategy. In an era of fast-moving markets and leap-frogging innovations, we can no longer “decide” the way forward. Today we have to “design” the way forward–or risk ending up in the fossil layers of history. Marty Neumeier, author of THE BRAND GAP and ZAG, presents the new management engine that can transform your company into a powerhouse of nonstop innovation.

In recent years, the concept of agility has captured the executive imagination, and leaders in a variety of industries and companies of all sizes are now searching for ideas on how to effectively utilize agile thinking. This book provides insights on agility from world-class experts on leadership, strategy and organization, alongside seasoned practitioners who have successfully implemented agility programs for companies such as Daimler, Ford Motor Company, J. W. Thompson, Siemens, and NASA. By combining theoretical expertise with a variety of managerial experiences, it provides a wide-ranging yet succinct guide for companies seeking to engage in the transformative journey towards becoming more agile. As such, it will be of great use and interest to executives in all industries, executive education participants and consultants, M.B.A. students and researchers interested in agile. Agility.X prepares leaders for managing under uncertainty and organizations for thriving in turbulent environments.

With the rate of change in organizations at an all-time high, the need for strong organization design has never been more pressing. Organization Design provides a complete road map for the implementation of organization design, covering all areas including downsizing, outsourcing and re-structuring. Full of hints and tips, as well as a practical toolkit to take organization designers from start to finish, Organization Design outlines the basic theory, provides a step-by-step approach to implementing organization design, and provides solutions to the recurring challenges to be met along the way. OD is about delivering results. By following this tried and tested approach, readers will gain the confidence and skills to put great organization design into practice to ensure business success.

Simons presents the seven key questions a manager and his team must continually ask. Drawing on decades of research into performance management systems and organization design, "Seven Strategy Questions" is a no-nonsense, must-read resource for all leaders in any organization.

Business firms around the world are experimenting with new organizational designs, changing their formal architectures, their routines and processes, and their corporate cultures as they seek to improve their current performance and their growth prospects. In the process they are changing the scope of their business operations, redrawing their organization charts, redefining the allocation of decision-making authority and responsibility, revamping the mechanisms for motivating and rewarding people, reconsidering which activities to conduct in-house and which to out-source, redesigning their information systems, and seeking to alter the shared beliefs, values and norms that their people hold. In this book, John Roberts argues that there are predictable, necessary relationships among these changes that will improve performance and growth. The organizations that are successful will establish patterns of fit among the elements of their organizational designs, their competitive strategies and the external environment in which they operate and will go about this in a holistic manner. The Modern Firm develops powerful conceptual frameworks for analyzing the interrelations between organizational design features, competitive strategy and the business environment. Written in a non-technical language, the book is nevertheless based on rigorous modeling and draws on numerous examples from eighteenth century fur trading companies to such modern firms such as BP and Nokia. Finally the book explores why these developments are happening now, pointing to the increase in global competition and changes in technology. Written by one of the world's leading economists and experts on business strategy and organization, The Modern Firm provides new insights into the changes going on in business today and will be of interest to academics, students and managers alike.

Total quality management (TQM), reengineering, the workplace of the twenty-first centuryâ€"the 1990s have brought a sense of urgency to organizations to change or face stagnation and decline, according to Enhancing Organizational Performance. Organizations are adopting popular management techniques, some scientific, some faddish, often without introducing them properly or adequately measuring the outcome. Enhancing Organizational Performance reviews the most popular current approaches to organizational changeâ€"total quality management, reengineering, and downsizingâ€"in terms of how they affect organizations and people, how performance improvements can be measured, and what questions remain to be answered by researchers. The committee explores how theory, doctrine, accepted wisdom, and personal experience have all served as sources for organization design. Alternative organization structures such as teams, specialist networks, associations, and virtual organizations are examined. Enhancing Organizational Performance looks at the influence of the organization's norms, values, and beliefsâ€"its cultureâ€"on people and their performance, identifying cultural "levers" available to organization leaders. And what is leadership? The committee sorts through a wealth of research to identify behaviors and skills related to leadership effectiveness. The volume examines techniques for developing these skills and suggests new competencies that will become required with globalization and other trends. Mergers, networks, alliances, coalitionsâ€"organizations are increasingly turning to new intra- and inter-organizational structures. Enhancing Organizational Performance discusses how organizations cooperate to maximize outcomes. The committee explores the changing missions of the U.S. Army as a case study that has relevance to any organization. Noting that a musical greeting card contains more computing power than existed in the entire world before 1950, the committee addresses the impact of new technologies on performance. With examples, insights, and practical criteria, Enhancing Organizational Performance clarifies the nature of organizations and the prospects for performance improvement. This book will be important to corporate leaders, executives, and managers; faculty and students in organizational performance and the social sciences; business journalists; researchers; and interested individuals.